Granite Announces Q4 and Full-Year 2024 Financial Results
Granite Announces Q4 and Full-Year 2024 Financial Results
WATSONVILLE, Calif. – Granite Construction Incorporated (NYSE: GVA) today announced its financial results for the fourth quarter and full year ended December 31, 2024, showcasing record performance across key financial metrics.
Fourth Quarter 2024 Results
- Net Income: $41 million, or $0.84 per diluted share, up from $26 million, or $0.55 per diluted share, in Q4 2023.
- Adjusted Net Income (1): $56 million, or $1.23 per diluted share, compared to $38 million, or $0.85 per diluted share, in Q4 2023.
- Revenue: Increased by $43 million to $977 million from $934 million in Q4 2023.
- Gross Profit: Increased by $57 million to $151 million from $94 million in Q4 2023.
- SG&A Expenses: $84 million (8.6% of revenue) compared to $82 million (8.8% of revenue) in Q4 2023.
- Adjusted EBITDA (1): Increased by $33 million to $109 million from $76 million in Q4 2023.
Fiscal Year 2024 Results
- Net Income: $126 million, or $2.62 per diluted share, up from $44 million, or $0.97 per diluted share, in 2023.
- Adjusted Net Income (1): $214 million, or $4.82 per diluted share, compared to $147 million, or $3.31 per diluted share, in 2023.
- Revenue: Grew by $498 million to $4.0 billion from $3.5 billion in 2023.
- Gross Profit: Increased by $177 million to $573 million from $396 million in 2023.
- SG&A Expenses: $334 million (8.3% of revenue) compared to $294 million (8.4% of revenue) in 2023.
- Adjusted EBITDA (1): Increased by $123 million to $402 million from $279 million in 2023.
CEO Statement
“I want to thank our teams for their dedication in making 2024 a record year for Granite,” said Kyle Larkin, President and CEO of Granite. “We achieved company records for revenue, adjusted net income, adjusted EBITDA, operating cash flow, and safety. Looking ahead, we anticipate continued organic revenue growth, strategic M&A activity, margin expansion, and steady cash flow as we progress toward our 2027 targets. The market remains robust, with high levels of public funding and strong private investment fueling opportunities in our construction and materials segments. With $586 million in cash and marketable securities, along with revolver borrowing capacity, Granite is well positioned for future growth and strategic investments.”
Segment Performance
Construction Segment
- Q4 Revenue: $821 million, up 3.5% from Q4 2023.
- Full-Year Revenue: $3.42 billion, up 14.1% from 2023.
- Gross Profit: Increased 77.9% to $128 million in Q4 2024; up 51.1% to $491 million for the full year.
- Committed and Awarded Projects (CAP): Totaled $5.3 billion, a decrease of $324 million sequentially and $250 million year-over-year. Despite this, bidding activity remains strong, with significant project awards expected in the first half of 2025.
Materials Segment
- Q4 Revenue: $156 million, up 11.4% from Q4 2023.
- Full-Year Revenue: $592 million, up 14.6% from 2023.
- Gross Profit: Increased 1.6% to $23 million in Q4 2024; up 14.5% to $82 million for the full year.
- Cash Gross Profit: Increased by 21.4% in Q4 2024 and by 29.2% for the full year, reflecting improved operational efficiency and the impact of recent acquisitions.
2025 Outlook
- Revenue: Expected between $4.2 billion and $4.4 billion.
- Adjusted EBITDA Margin: Targeted at 11.0% to 12.0%.
- SG&A Expense: Projected at approximately 9.0% of revenue, including $45 million in stock-based compensation.
- Effective Tax Rate: Mid-20s for adjusted net income.
- Capital Expenditures: Estimated between $140 million and $160 million.
“Our guidance reflects confidence in our project portfolio and the market environment as we enter 2025,” said Staci Woolsey, Executive Vice President and Chief Financial Officer. “We anticipate sustained revenue growth, margin expansion, and strategic capital deployment as we execute our long-term growth strategy.”
About Granite
Granite is America’s Infrastructure Company™. Since its incorporation in 1922, Granite (NYSE: GVA) has grown into one of the largest diversified, vertically integrated civil contractors and construction materials producers in the United States. Guided by a strong Code of Conduct and Core Values, Granite and its employees are committed to the highest ethical standards. The company is a recognized industry leader in safety, quality, and sustainability, earning numerous awards for its excellence.
